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Abstract
In recent years, the international community has placed great emphasis on environmental protection issues. The United Nations has also successively enacted relevant laws and regulations to restrain international greenhouse gas emissions and some countries implemented carbon tax levies to reduce air pollution. The tire industry is a manufacturing industry with high pollution and high carbon emissions; therefore, the purpose of this paper is to propose a framework of production planning and control with carbon tax under Industry 4.0 and use the tire industry as the illustrative example. In this framework, the mathematical programming model, with Activity-Based Costing (ABC) and Theory of Constraints (TOC) for production planning, is used to achieve the optimal solution under various production and sale constraints in order to find the optimal product-mix maximizing the profit. On the other hand, Industry 4.0 utilizes new technologies such as 3D printing, robot and automated guided vehicle (AGV) and links all the components in the manufacturing systems by using various sensor systems, Cyber-Physical Systems (CPS) and Internet of Things (IoT) to collect and monitor the activity data of all the components in real-time, to give intelligent responses to various problems that may arise in the factory by the real-time analysis results of cloud computing and big data and to attain the various benefits of Industry 4.0 implementation. The parameters of the mathematical programming model will be updated periodically from the new big data set. In this paper, an illustrative example is used is used to demonstrate the application of the model. From the optimal solution and sensitivity analyses on increasing the raw material’s prices and carbon taxes will affect the profits. This framework can provide a general approach to help companies execute production management in the way of more efficiency, less cost, lower carbon emission and higher quality across the value chain for the tire industry and other industries.
Highlights
While Industry 4.0 has emerged in the manufacturing industry in recent years, the introduction of Industry 4.0 in the manufacturing industry is still rare [1]
In the model proposed in this paper, Activity-Based Costing (ABC) is used to measure the costs of activities
The mathematical programming model of this study shows that the fluctuation of raw materials and the increased carbon tax are the factors affecting the maximum profit of the tire industry
Summary
While Industry 4.0 has emerged in the manufacturing industry in recent years, the introduction of Industry 4.0 in the manufacturing industry is still rare [1]. In recent years, consolidating the real economy has been emphasized by governments at all levels as one of the important components of the economy, modern manufacturing industries are receiving great attention by related industries and governments at all levels. The international community has placed considerable emphasis on environmental protection issues and the United Nations has successively enacted relevant laws and regulations such as international greenhouse gas emissions and the 2015 Paris Accord (UNFCC, 2016), in the hope that the environment we live in will not continue to deteriorate. Due to the developments of science and technology and the result of high industrialization, anthropocentric greenhouse gases are continually generated and accumulated, leading to increased global warming with deteriorating climate and environmental ecology. Different perspectives and empirical studies suggest that more attention should be paid to the causal relationship between eco-efficiency
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